Change In Salary Date - CiteHR
Psdhingra
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Dear Seniors,
In my organisation, we have a practice of calculating the working days from 1st to 30th and paying salary by 10th of next month.
I want to ensure that the salary is disbursed by the last working day of the same month and hence I have proposed to change the calculation of working days from 1-30th to 21st to 20th (New dates).
I have introduced this process in the middle of the existing process. Can some one suggest me how to implement the new system without deducting 10 days salary as the new dates for calculating salary starts from 21st and ends on 20th of next month
Please mail me your suggestions to
Regards
Santosh
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most of the leading companies have the attendance cycle of 16th to 15th. Iany any leave/absent take place, it will be reckoned in the next cycle. pon
Thats fine, But I am looking for a solution to sudden change in the salary cycle. If I am not going for any salary deductions that would mean that I am paying them a salary of 10 days in advance as I have paid a salary upto 31st March for all. If I start the new cycle, either I need to deduct for 10 days salary or I need to give them an extra pay for 10 days. Option one will be objected by the employee and option 2 will be objected by the management.
Can you provide me a solution for this typical problem.
Regards
Santosh
Hi,
I'm working in manufacturing firm having 150 staff & 1500 workers. We make Salary on excel format and distributing the printed salary slips to all individuals including workers & staff. THis involves lots of time & efforts of our team members. So can you plz help me that how can we distribute the pay slips to all 1600 manpower that involves less time & efforts of our HR team. Only 100 out of all have access to computers.
Thnx
GArima
Dear All, Greetings of the day! Is there any difference between "workers" or "staff". Pls clarify & what can be the format of salary slip prepared in excell sheet. Best regards, Sudhi
Since you have around 1600 employees. There must be different deptts. Thus send Slary/wage slips to respective deptts. and put responsbility of distribution on them for their depts.
Hi,
Just start this practice and you will find that your doubt would prove to be undounded.
Every body will be pleased with your move, even the management also when they also would start getting salary on the last day of the month. AND most importantly, you won't find over payment even to 1% of staff, as rare cases will be there who would be on leave and even in that 1% if leave becomes due, no question of overpayment would come to the fore. Even if any one case comes to light you would be able to recover the overpayment from his next salary.

Dear Mr Santosh
Gretings!!
You can apply this calculation while calculating the salary.
Since you said you want to calculate for the period 21st to 20th of every month an you have already paid till 30th of previous month.
Calculate the salary from 1st to 20th forthe first month and assume the last 10 days of the employees would be present
Eg From 1st March to 31st March=Already paid
New Salary Dates Implemented from 1st April-20th April=20 Days+10days (Assumed Employee ill be present)
If any Leave or LOP is availed by the employee calculate it in the second month i.e for the cycle 21st April to 20th May.From Second Month this will come in order.
Regards
Videet
Dear Mr. Balaji,

I appreciate your effort. It is nothing wrong to change to a convenient pay cycle. In fact we ourselves in our co., strength of 3500 employees, follow the practice. So you need not panic. This is nothing wrong or illegal. Only thing is, as per labour laws salary should be paid on or before 10th of the follg.month. And the date of disbursement of salary should be notificed on all the notice board permanently. I suggest the follg. steps:

1.For the first when you change over you may have to work out salary for the broken period. I suggest, as we also follow, for the purpose of closing the attendance you may follow salary month will be from 19th of current month to 20th of the following month. When you close the month with attendance on 20th it will be easy for you to calculate salary and disburse on or before 30th of any calendar month. This will solve lots of problem like TDS, PT etc. also. Only thing for the first month of change over you have to disburse salary for the initial broken period. For eg. if the new system will be introduced from 19.4.2011 then salary for 1.4.2011 to 18.4.11 shall be calculated separately and paid on or before say 20.4.11 or merged in the salary for the period from 19.4.11 to 20.5.11 and disbursed for the initial month of new system. Then from May onwards you will have no problem in following the cycle. By this method all related aspects like leave, allw. etc. all will be deemed to cover 19 to 20th month system.

There is no ambiquity of neither payment in adv. or delay in payment. So many co. follow such methods.

2. You are brilliant how U R managing with Excel files for pay roll calculation, distributing pay slips. It is cumbersome. Better you try to have a suitable programme written to suit your requirement, either inhouse or from external SW developers. I may suggest prog. based on any one of platform such as Power builder, Oracle, SAP and so on Methinks, using Excel files for this purpose is very risky. This new prog., if you link with attendance recording network will ease your blues. All your records related to pay roll can be maintained on line and also process fast, minimises manual work or data entry (batch processing) etc.

If U will have any query, continue this link.

All the best.

Kumar, Bangalore

9.4.11
Hello Santosh,
I think psdhingra is right.
You haven't mentioned which industry you are working in. If it's manufacturing, you would have an Employees Union.
And even if you don't have any, just sound-out this idea with those whom you know or those who are likely to have a say in the other employees' decision [union leaders, so to say]. Highlight the positives aspects of your step--since at some point the 10 days salary will need to be handled, better do it right @ the start of the change.
Once you feel comfortable, you can take the issue to the management.
Rgds,
TS
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